HydraSwap is building a next generation DEX designed to provide cross-chain asset management solutions to traders and liquidity providers (LPs). Managed by a superstar core team and powered by the Solana blockchain, this DEX will facilitate cross-chain asset transfers in a performant and economical way.
Harnessing Solana’s impressive throughput, HydraSwap will scale quickly and solve the problem of DeFi’s fragmented liquidity. By creating a seamless cross-chain infrastructure and implementing a game changing market making algorithm, HydraSwap aims to serve the DeFi community in a whole new way. Furthermore, by developing a slick and intuitive user interface, HydraSwap will provide traders & LPs alike with overwhelmingly positive user experiences.
Market Pain Points
We at HydraSwap think that DeFi should be fast and efficient. Yet unpredictable network congestion and high transaction fees make some popular networks suboptimal for many DeFi applications. Outside the mainstream, there is an ecosystem of public blockchains trying to solve the problems of congestion and high fees, but these blockchains have other issues. These issues include cross-chain incompatibility and imperfect automated market maker (AMM) strategies. Additionally, many potential market participants are excluded from DeFi by technical barriers to entry.
We at HydraSwap believe that a high performance blockchain is necessary to support the high frequency trading ecosystem of DeFi. Solana was the obvious choice for us. With transactions per second exceeding 50k and transaction costs under 1cent, Solana organically supports a high throughput without the need for parachains and shards. Thus Solana appears ideal for building the DEX of the future.
Innovation and Roadmap
We at HydraSwap aim to improve upon standard AMM strategies. The drawbacks of such strategies include low rate of funds utilization, impacts on market makers’ asset structures and rigidity that is unresponsive to dynamic market conditions. HydraSwap’s Hydra Market Maker (HMM) operates differently. With HMM, an oracle reference causes the pricing curve to adjust to the broader market.Appropriate safeguards are built in for preventing price manipulation. It incentivizes arbitrageurs to step in but does so in a way that minimizes negative selection of trades for the AMM pool. HMM also introduces new parameters giving LPs greater control of their liquidity, mitigating impermanent loss and increasing the rate of funds utilization. This enables market makers to create high quality liquidity comparable to what centralized exchanges offer.
Our team decided early on to prioritize UI/UX, designing a DEX with a look and feel that rivals any centralized exchange.
Our roadmap is ambitious, yet realistic:
- HydraSwap began with seed funding in Q1–2021.
- Q2 brings HydraSwap 1.0, the HMM and Initial Hydra Offering (IHO), limit orders, and issuance of the HYS token.
- Q3 is scheduled to deliver Cross-Chain Bridge 1.0, one-stop mining, and a referral program. Smart aggregation, DeFi arbitrage, and the initial development of 2.0 are scheduled for Q4.
- In Q1 of 2022, HydraSwap 2.0, lending, margin trading, and perpetual swap will be rolled out.
A world class team is dedicated to providing the DeFi community with a unique solution to many problems traders experience. Here is more information about the team that is bringing this project to fruition. Meet our core Hydra family:
Chimera: Ex-JPMorgan head of Exotics trading business is a TradFi veteran and is leading the product.
Sphinx: Serial entrepreneur with two successful exits under his belt is leading the marketing and operations.
Cerberus: Ex-Standard Chartered and now a Serial DeFi entrepreneur with the necessary community connections is managing strategic partnerships and advisors.
Orthrus: Experienced CTO with blockchain & DeFi experience as well as building a centralized exchange in the past.
We will be releasing details of our IDO, IEO and strategic investors and partners shortly.
We will also be creating a series of articles for sharing our technical know-how on Solana. We want to enable dApp enthusiasts to come and build innovative solutions on Solana with us. Please check out our alpha version and tell us what you think. To keep up with the updates, follow us on Twitter, LinkedIn, Facebook, Telegram, Reddit, and Discord.